UK's reputation has taken a knock, admits Rishi Sunak

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UK's reputation has taken a knock, admits Rishi Sunak
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The prime minister warns of a 'difficult' economic outlook ahead of Thursday's Autumn Statement.

The budget, the government's second financial package in under two months, comes after mostly now-abandoned tax cuts in the mini-budget, outlined by Liz Truss's chancellor Kwasi Kwarteng, sparked financial turmoil.

Mr Sunak has hinted that pensions will rise to keep pace with inflation, telling reporters on the way to Bali that pensioners would be "at the forefront of my mind". He said everyone will be asked to contribute more in tax in Thursday's Autumn Statement, with the better-off taking the biggest hit. But he added: "Even though the situation is difficult [...] we will make those decisions balancing everything we have to.

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